Mohali, Punjab, has emerged as one of the fastest-growing real estate markets in North India. Known for its well-planned infrastructure, proximity to Chandigarh, and a booming commercial sector, the city has attracted investors, homebuyers, and businesses alike. However, like any evolving real estate market, Mohali has experienced both positive and negative transformations over the years.
In this article, we will explore the significant changes in Mohali’s real estate sector, highlighting the benefits and challenges along with real-life examples and case studies.
Positive Changes in Mohali Real Estate
1. Rapid Infrastructure Development
One of the key reasons behind Mohali’s real estate boom is its well-developed infrastructure. The city has witnessed a surge in the construction of modern residential complexes, commercial spaces, and industrial parks.
- The expansion of Airport Road (PR7) has significantly improved connectivity, making areas like Aerocity, IT City, and Wave Estate prime investment locations.
- The presence of Mohali International Airport has boosted economic activity, leading to increased demand for commercial and residential properties.
- Development of Metro and Smart City initiatives is further enhancing the livability and real estate value.
- New flyovers and road widening projects have reduced travel time between key locations, improving accessibility.
Example: The Mohali IT City project, which houses companies like Infosys, has led to a spike in real estate prices in the nearby sectors, making it a lucrative investment destination.
2. Growing Commercial and IT Hub
Mohali is evolving as a prominent IT and commercial hub, attracting professionals and businesses from across the country.
- Companies like Infosys, Tech Mahindra, and Tata Communications have established offices in Mohali, leading to increased employment opportunities and a demand for housing.
- The rise of co-working spaces and start-ups has further fueled demand for commercial real estate.
- Shopping malls like VR Punjab Mall and Bestech Square Mall have added to the commercial attractiveness of the city.
- Upcoming business parks and corporate hubs are creating more opportunities for job seekers and investors alike.
Example: The presence of IT companies in sectors like 67 and 74 has led to increased demand for rental properties in nearby sectors, benefiting homeowners and investors alike.
3. Affordable Housing and Premium Projects
Mohali offers a mix of affordable housing options and high-end luxury projects, catering to a wide range of buyers.
- The city has several RERA-approved affordable housing projects, making it an attractive option for first-time homebuyers.
- Luxury projects like JLPL Falcon View, Hero Homes, and Homeland Heights offer world-class amenities, drawing interest from NRIs and high-net-worth individuals.
- Government incentives and subsidies for affordable housing have made home ownership more accessible.
Example: The development of GMADA-approved plots in areas like
Sector 88-89 has seen a surge in demand from both local and NRI investors looking for premium yet secure investments.
4. Strong Rental Market
With the influx of professionals, students, and businesses, Mohali’s rental market has flourished.
- Students and working professionals prefer PGs, studio apartments, and flats in areas like Phase 7, Phase 10, and Sector 70.
- Corporate housing has increased in demand, particularly in areas near the IT corridor and commercial hubs.
- Higher rental yields in prime locations are attracting buy-to-let investors.
Example: Rental rates in Aerocity and IT City have increased by over 20% in the last three years due to the growing influx of IT employees and startups.
Negative Changes in Mohali Real Estate
1. Over-Supply Leading to Price Stagnation
While development is booming, an oversupply of residential projects has led to
stagnation in property prices.
- Several projects remain unsold or delayed, creating a surplus of inventory.
- Due to high competition among builders, price appreciation has slowed down compared to the rapid growth seen a decade ago.
- Developers are offering heavy discounts and schemes to attract buyers, signaling an oversupplied market.
Example: Areas like Kharar and Sunny Enclave have seen a flood of apartment projects, but slow occupancy rates have resulted in property price stagnation.
2. Delayed and Abandoned Projects
Like many other cities in India, Mohali has also faced
project delays and abandoned developments, leading to financial losses for buyers and investors.
- Some developers fail to complete projects due to funding issues or legal complications.
- Buyers have reported delays in possession, affecting investor confidence.
- Incomplete townships and stalled projects have created ghost areas with little to no habitation.
Example: The case of
Pearls Infrastructure Projects, where multiple buyers were left stranded due to legal disputes and delays, has raised concerns about developer accountability.
3. Traffic Congestion and Pollution
With rapid urbanization comes increased
traffic congestion and pollution levels, affecting the city’s overall appeal.
- Areas like Zirakpur, Kharar, and Phase 8 face severe traffic bottlenecks during peak hours.
- The rising number of vehicles has contributed to air pollution, reducing the overall quality of life in some areas.
- Unplanned urban expansion has put pressure on existing road networks.
4. Illegal Colonies and Regulatory Issues
The mushrooming of
unauthorized colonies and
land disputes have been a persistent issue in Mohali.
- Several illegal housing societies have been developed without proper approvals, leading to legal troubles for buyers.
- Regulatory changes and delays in approvals have slowed down project launches, impacting real estate growth.
5. Rising Property Prices in Prime Locations
While some areas remain affordable,
prices in prime locations have surged, making it challenging for middle-income buyers.
- Areas like Aerocity, IT City, and Phase 9 have seen prices rise by 40-50% in the past five years.
- High demand and premium developments have pushed affordability out of reach for many homebuyers.
- Land scarcity in central sectors is further driving up property prices.
Conclusion
Despite the challenges, Mohali remains one of the most promising real estate markets in Punjab. With strategic planning and informed decision-making, both investors and homebuyers can benefit from the opportunities this growing city has to offer.
